Appetite for lending can differ from lender to lender.
A lender’s appetite can explain why certain rates on mortgages offered can be higher. Additionally, certain lenders decline mortgage applications due to area and what they are looking for.
Overall appetite is your home’s marketability – what will it sell for. Moreover, if house is located in a major, medium, or minor urban area financing can look different.
Generally speaking, it means that a lender is seeking out particular areas, markets, returns, and Borrower Types to lend money to.
Typically, appetite for lending defines the lender’s mortgage product offerings. Staying within their product offerings lowers risks and keeps the lender happy. When your home is within the lending guidelines, and fits what the lender is looking for you will obtain the best mortgage rate offered.
